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Loans to Bank Customers
3 Months Ended
Mar. 31, 2017
Loans and Leases Receivable Disclosure [Abstract]  
Loans to Bank Customers
Loans to Bank Customers
The following table presents total outstanding loans, gross of the related allowance for loan losses, and a summary of the related payment status:
 
30-59 Days Past Due
 
60-89 Days Past Due
 
90 Days or More Past Due
 
Total Past Due
 
Total Current or Less Than 30 Days Past Due
 
Total Outstanding
 
(In thousands)
March 31, 2017
 
Residential
$
9

 
$

 
$

 
$
9

 
$
3,656

 
$
3,665

Commercial

 

 

 

 
242

 
242

Installment
6

 

 

 
6

 
1,663

 
1,669

Other

 

 

 

 
1,963

 
1,963

Total loans
$
15


$

 
$

 
$
15

 
$
7,524

 
$
7,539

 
 
 
 
 
 
 
 
 
 
 
 
Percentage of outstanding
0.2
%
 
%
 
%
 
0.2
%
 
99.8
%
 
100.0
%
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Residential
$

 
$
6

 
$

 
$
6

 
$
3,718

 
$
3,724

Commercial

 

 

 

 
366

 
366

Installment

 

 
2

 
2

 
1,742

 
1,744

Other

 

 

 

 
502

 
502

Total loans
$

 
$
6

 
$
2

 
$
8

 
$
6,328

 
$
6,336

 
 
 
 
 
 
 
 
 
 
 
 
Percentage of outstanding
%
 
0.1
%
 
%
 
0.1
%
 
99.9
%
 
100.0
%

Note 6—Loans to Bank Customers (continued)
Nonperforming Loans
As of March 31, 2017 and December 31, 2016, we had nonperforming residential loans with a carrying value of $0.4 million, gross of the related allowance for loan losses. See Note 2–Summary of Significant Accounting Policies to the Consolidated Financial Statements of our Annual Report on Form 10-K for the year ended December 31, 2016 for further information on the criteria for classification as nonperforming.
Credit Quality Indicators
We closely monitor and assess the credit quality and credit risk of our loan portfolio on an ongoing basis. We continuously review and update loan risk classifications. We evaluate our loans using non-classified or classified as the primary credit quality indicator. Classified loans are those loans that have demonstrated credit weakness where we believe there is a heightened risk of principal loss, including all impaired loans. Classified loans are generally internally categorized as substandard, doubtful or loss, consistent with regulatory guidelines.
The table below presents the carrying value, gross of the related allowance for loan losses, of our loans within the primary credit quality indicators related to our loan portfolio:
 
March 31, 2017
 
December 31, 2016
 
Non-Classified
 
Classified
 
Non-Classified
 
Classified
 
(In thousands)
Residential
$
2,993

 
$
672

 
$
3,036

 
$
688

Commercial
242

 

 
366

 

Installment
1,378

 
291

 
1,432

 
312

Other
1,963

 

 
502

 

Total loans
$
6,576

 
$
963

 
$
5,336

 
$
1,000


Impaired Loans and Troubled Debt Restructurings
When, for economic or legal reasons related to a borrower’s financial difficulties, we grant a concession for other than an insignificant period of time to a borrower that we would not otherwise consider, the related loan is classified as a Troubled Debt Restructuring, or TDR. Our TDR modifications involve an extension of the maturity date at a stated interest rate lower than the current market rate for new debt with similar risk. The following table presents our impaired loans and loans that we modified as TDRs as of March 31, 2017 and December 31, 2016:
 
March 31, 2017
 
December 31, 2016
 
Unpaid Principal Balance
 
Carrying Value
 
Unpaid Principal Balance
 
Carrying Value
 
(In thousands)
Residential
$
377

 
$
307

 
$
388

 
$
316

Installment
209

 
93

 
220

 
98


Allowance for Loan Losses
Activity in the allowance for loan losses consisted of the following:
 
Three Months Ended March 31,
 
2017
 
2016
 
(In thousands)
Balance, beginning of period
$
277

 
$
426

Provision (benefit) for loans

 
(151
)
Loans charged off
(5
)
 

Recoveries of loans previously charged off
9

 
3

Balance, end of period
$
281

 
$
278